Ms. Irina Kuznetsova reports

NEO ANNOUNCES THE COMPLETION OF THE SALE OF ITS QUAPAW, OKLAHOMA RARE METALS FACILITY

Neo Performance Materials Inc. has completed the sale of its equity ownership interest in Neo Rare Metals (Oklahoma) LLC (Quapaw) to Kevin Reading, the current general manager and co-founder of the facility.

The purchaser acquired Neo's 80-per-cent equity interest in Quapaw for an aggregate cash purchase price equal to $1.5-million (U.S.). The transaction also includes a seven-year agreement wherein Quapaw will purchase gallium from, and purchase and transfer gallium scrap to the company's recycling facility in Peterborough, Ont. (see news release dated Aug. 6, 2024).

The completion of this transaction marks a key step in Neo's operational transformation, as the company continues to streamline its business globally and optimize its asset portfolio to support its long-term scale and growth ambitions.

"With the completion of this sale, Neo is well positioned to reinforce our core operations to maximize shareholder value," said Rahim Suleman, president and chief executive officer of Neo. "Mr. Reading has been a valued partner and we look forward to continuing our partnership with the entrepreneurial owner-operator team at Quapaw."

The Quapaw facility is a leading producer in North America of gallium trichloride, which is used in applications such as LED (light-emitting diode) lighting (white LED), lithium batteries, integrated circuit chips and capacitors.

About Neo Performance Materials Inc.

Neo manufactures the building blocks of many modern technologies that enhance efficiency and sustainability. Neo's advanced industrial materials -- magnetic powders and magnets, specialty chemicals, metals, and alloys -- are critical to the performance of many everyday products and emerging technologies. Neo's products help to deliver the technologies of tomorrow to consumers today. The business of Neo is organized along three segments: magnequench, chemicals and oxides, and rare metals. Neo is headquartered in Toronto, Ont., Canada, with corporate offices in: Greenwood Village, Colo., U.S.; Singapore; and Beijing, China. Neo has a global platform that includes eight manufacturing facilities located in China, the United States, Germany, Canada, Estonia, Thailand and the United Kingdom, as well as one dedicated research and development centre in Singapore.

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